August 25, 2022 (MLN): Pakistan received fresh external loans of $185.61 million in the first month of FY23 i.e., July 2022 from multiple financing sources against the annual budget estimates of $22.82 billion for the entire fiscal year FY23, the latest monthly report by the Economic Affairs Division (EAD) showed.
While no loans were borrowed from commercial banks in July 2022.
Of $22.82bn, the government has budgeted foreign economic assistance of $2bn from bond issuance, $7.47bn from commercial banks, $3bn from IMF and $1.63bn from Naya Pakistan Certificate.
Going into details made available by EAD, out of $185.6mn, the government obtained a $133mn loan for non-project aid that includes $27mn in the form of budgetary support, $100mn for SFD short-term credit, and $6mn for TDPs.
During July 2022, the foreign assistance obtained by Pakistan through multilateral sources totaled $78.04mn. Amongst the multilateral development partners, International Development Association-World Bank (IDA) provided $59.14mn in July 2022 against the budgeted $1.4bn for FY23, followed by Asian Development Bank (ADB) with $7.36mn in the said month against the budgeted estimate of $3.2bn for the current financial year. While IBRD disbursed $6.56mn in July 22 against the budgeted $1.23bn for FY23.
The monthly bulletin by EAD revealed that the collective disbursement from bilateral partners amounted to $107.56mn during July 2022 against the budgeted $1.04bn for the current fiscal year. The country received $100mn from Saudi Arabia as an oil facility in July 2022 against the budgeted estimate of $800mn of FY23, followed by the United States with a grant of $6mn while France gave $1.55mn during the period under review.
